BY TOM SOMACH

Internet money-transfer service NETeller is pulling out of another gambling market.

The embattled British Isles-based e-wallet, which at one time was the leading method for online poker players and other online gamblers worldwide to transfer monies to and from online gamblng sites, has announced it is terminating service for online gamblers in Israel.

The decision is effective immediately. While Israeli customers may no longer use NETeller to fund and collect from online gambling sites, they may continue to use NETeller for non-gambling-related transactions, the company announced. Israel becomes the fourth country in the world to be banned by NETeller from using the company for online gambling.

Earlier this year, NETeller banned online gamblers in Canada, Turkey and the U.S. from using the company’s services.

NETeller cited a changing legal climate in Israel in regard to online gambling as the reason for the latest ban.

In a press release posted on its website, www.neteller.com, the company stated:

“Recent legal developments have increased the uncertainty regarding the legality around certain activities related to online gambling in the Israeli market (so NETeller) will no longer process transfers related to online gambling sites on behalf of Israeli resident customers…Israel-resident customers will be able to continue to use their NETeller e-wallet account for any non-gambling-related money transfers and withdrawals…

“Customers located in other parts of the world are not affected by this change, and NETeller continues to service these customers in the normal manner. The Israeli business (of NETeller) does not represent a material proportion of (NETeller’s) overall customer base, revenue or profitability.”

(E-mail Tom Somach at tomsomach@yahoo.com.)